BWA Stock Analysis: BorgWarner | NYSE
Auto Parts | NYSE, USA | Market Cap: 13.029m USD | 12M Return: 83.9% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 194M
EPS Trend: -40.2%
Qual. Beats: 0
Rev. Trend: 45.5%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
BorgWarner Inc. (NYSE: BWA) is a global automotive supplier that delivers technology solutions for combustion, hybrid, and electric vehicles. Founded in 1928 and headquartered in Auburn Hills, Michigan, the company operates through four segments: Turbos & Thermal Technologies; Drivetrain & Morse Systems; PowerDrive Systems; and Battery & Charging Systems. Its product portfolio spans turbochargers, emissions and thermal systems, transmission chain and friction products, hydraulic controls, torque management devices, power electronics (inverters, onboard chargers, DC/DC converters), rotating electric machines, fully integrated drive modules, electronic control units, and battery packs using both nickel manganese cobalt and lithium iron phosphate chemistries. BorgWarner trades as a large-cap stock on the NYSE, having gone public in 1993, and was formerly known as Borg-Warner Automotive, Inc.
The company sits within the GICS Consumer Discretionary sector under the Automotive Parts & Equipment sub-industry, functioning as a Tier 1 supplier selling components directly to vehicle manufacturers. A key feature of BorgWarners business model is its ongoing shift from legacy combustion-related products toward electrified propulsion offerings, including battery systems, power electronics, and electric drive modules.
- PowerDrive Systems revenue accelerates on rising EV demand
- Turbos and Thermal margins compress as ICE volumes decline
- Battery and Charging Systems expands through Rhombus and integration of acquisitions
| Net Income: 362.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 2.02 > 1.0 |
| NWC/Revenue: 24.95% < 20% (prev 22.49%; Δ 2.47% < -1%) |
| CFO/TA 0.13 > 3% & CFO 1.72b > Net Income 362.0m |
| Net Debt (2.15b) to EBITDA (1.42b): 1.51 < 3 |
| Current Ratio: 2.13 > 1.5 & < 3 |
| Outstanding Shares: last quarter (208.3m) vs 12m ago -4.49% < -2% |
| Gross Margin: 18.91% > 18% (prev 18.77%; Δ 0.14% > 0.5%) |
| Asset Turnover: 104.3% > 50% (prev 101.3%; Δ 3.06% > 0%) |
| Interest Coverage Ratio: 7.60 > 6 (EBIT TTM 714.0m / Interest Expense TTM 94.0m) |
| A: 0.26 (Total Current Assets 6.74b - Total Current Liabilities 3.17b) / Total Assets 13.7b |
| B: 0.50 (Retained Earnings 6.78b / Total Assets 13.7b) |
| C: 0.05 (EBIT TTM 714.0m / Avg Total Assets 13.7b) |
| D: 0.68 (Book Value of Equity 5.48b / Total Liabilities 8.01b) |
| Altman-Z'' = 4.40 = AA |
| DSRI: 0.96 (Receivables 3.10b/3.16b, Revenue 14.3b/14.0b) |
| GMI: 0.99 (GM 18.77% / 18.91%) |
| AQI: 0.94 (AQ_t 0.25 / AQ_t-1 0.27) |
| SGI: 1.02 (Revenue 14.3b / 14.0b) |
| TATA: -0.10 (NI 362.0m - CFO 1.72b) / TA 13.7b) |
| Beneish M = -3.09 (Cap -4..+1) = AA |
As of July 11, 2026, the stock is trading at USD 64.99 with a total of 1,208,076 shares traded. Over the past week, the price has changed by +2.31%, over one month by -8.84%, over three months by +19.57% and over the past year by +83.91%.
Current recommended Stop Loss: 61.50 (which is 5.4% or 1.3 ATR below the current price).
BorgWarner has received a consensus analysts rating of 4.11. Therefore, it is recommended to buy BWA.
- StrongBuy: 7
- Buy: 6
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 76.3 | 17.4% |
P/E Trailing = 36.9302
P/E Forward = 15.7233
P/S = 0.909
P/B = 2.378
P/EG = 0.5422
Revenue TTM = 14.3b USD
EBIT TTM = 714.0m USD
EBITDA TTM = 1.42b USD
Long Term Debt = 3.88b USD (from longTermDebt, last quarter)
Short Term Debt = 42.0m USD (from shortTermDebt, last quarter)
Debt = 4.26b USD (from shortLongTermDebtTotal, last quarter) + Leases 192.0m
Net Debt = 2.15b USD (calculated: Debt 4.26b - CCE 2.11b)
Enterprise Value = 15.2b USD (13.0b + Debt 4.26b - CCE 2.11b)
Interest Coverage Ratio = 7.60 (Ebit TTM 714.0m / Interest Expense TTM 94.0m)
EV/FCF = 12.40x (Enterprise Value 15.2b / FCF TTM 1.23b)
FCF Yield = 8.07% (FCF TTM 1.23b / Enterprise Value 15.2b)
FCF Margin = 8.55% (FCF TTM 1.23b / Revenue TTM 14.3b)
Net Margin = 2.53% (Net Income TTM 362.0m / Revenue TTM 14.3b)
Gross Margin = 18.91% ((Revenue TTM 14.3b - Cost of Revenue TTM 11.6b) / Revenue TTM)
Gross Margin QoQ = 19.16% (prev 20.40%)
Tobins Q-Ratio = 1.11 (Enterprise Value 15.2b / Total Assets 13.7b)
Interest Expense / Debt = 2.20% (Interest Expense 94.0m / Debt 4.26b)
Taxrate = 32.42% (201.0m / 620.0m)
NOPAT = 482.5m (EBIT 714.0m * (1 - 32.42%))
Current Ratio = 2.13 (Total Current Assets 6.74b / Total Current Liabilities 3.17b)
Debt / Equity = 0.78 (Debt 4.26b / totalStockholderEquity, last quarter 5.48b)
Debt / EBITDA = 1.51 (Net Debt 2.15b / EBITDA 1.42b)
Debt / FCF = 1.76 (Net Debt 2.15b / FCF TTM 1.23b)
Total Stockholder Equity = 5.71b (last 4 quarters mean from totalStockholderEquity)
RoA = 2.63% (Net Income 362.0m / Total Assets 13.7b)
RoE = 6.34% (Net Income TTM 362.0m / Total Stockholder Equity 5.71b)
RoCE = 7.45% (EBIT 714.0m / Capital Employed (Equity 5.71b + L.T.Debt 3.88b))
RoIC = 4.92% (NOPAT 482.5m / Invested Capital 9.81b)
WACC = 8.08% (E(13.0b)/V(17.3b) * Re(10.24%) + D(4.26b)/V(17.3b) * Rd(2.20%) * (1-Tc(0.32)))
Discount Rate = 10.24% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -97.75 | Cagr: -5.10%
[DCF] Terminal Value 77.97% ; FCFF base≈1.12b ; Y1≈1.28b ; Y5≈1.89b
[DCF] Fair Price = 128.1 (EV 28.4b - Net Debt 2.15b = Equity 26.3b / Shares 205.1m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -40.19 | EPS CAGR: -21.54% | SUE: 0.07 | # QB: 0
Revenue Correlation: 45.49 | Revenue CAGR: 0.80% | SUE: 0.44 | # QB: 0
EPS current Quarter (2026-06-30): EPS=1.27 | Chg30d=-0.11% | Revisions=-31% | Analysts=14
EPS next Quarter (2026-09-30): EPS=1.30 | Chg30d=-0.17% | Revisions=-27% | Analysts=14
EPS current Year (2026-12-31): EPS=5.19 | Chg30d=-0.11% | Revisions=+31% | GrowthEPS=+5.8% | GrowthRev=-0.7%
EPS next Year (2027-12-31): EPS=5.86 | Chg30d=+0.03% | Revisions=+17% | GrowthEPS=+12.8% | GrowthRev=+5.0%
[Analyst] Revisions Ratio: -7% (up=19, down=22)